Unprecedented Divergence in Cryptocurrency Profitability
On November 16, 2025, Glassnode data revealed an unusual divergence where altcoins remain in deep capitulation while Bitcoin's profitability begins a dramatic decline across major exchanges. This divergence is unprecedented, potentially signaling a major shift in market dynamics, affecting liquidity and investor sentiment in the cryptocurrency market, particularly for altcoins and Bitcoin.
Bitcoin and Altcoin Profitability Diverge Sharply
The current crypto market is experiencing a marked divergence in profitability trends between Bitcoin and altcoins. Glassnode reports that only about 5% of the Top 500 altcoins are profitable, contrasting with the recent sharp decline in Bitcoin’s profitability. Both markets previously moved in tandem during bear cycles, making this separation noteworthy.
Bitcoin's decline in profitability could impact investor strategies and sentiment. This decoupling suggests that the altcoin market has been mired in a longer period of low profitability, while Bitcoin's recent downturn might indicate a broader market shift.
While there have been no major statements from cryptocurrency leaders or authoritative bodies, community discussions indicate concern over this unprecedented market movement.
Altcoins Market Faces Comprehensive Capitulation with Just 5% Supply Remaining in Profit Zone.
Historical Impact and Potential Market Shifts
The unusual profitability divergence between Bitcoin and altcoins reported in 2025 has no precedence in past cycles, highlighting a new phase in crypto market dynamics.
Bitcoin's current price is $95,625.85 with a market cap of $1.91 trillion and market dominance of 58.64%. The price reflects a decline of 12.27% over the last 30 days, with a 24-hour trading volume dropping by 56.24%.
Experts suggest this deviation may lead to potential regulatory and technological shifts within the cryptocurrency sector. Historical trends indicate that such divergences could prompt evolving market strategies and increased scrutiny from financial watchdogs.
Rafael Schultze-Kraft, CTO, Glassnode, stated, “Altcoins Market Faces Comprehensive Capitulation with Just 5% Supply Remaining in Profit Zone.”